I'm Young & Healthy, Can I Skip Health Insurance?

For many young people, health insurance is a big expense that may seem unecessary... but is it smart to go without it?

Two Cents on Twitter: @twocentspbs

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Two Cents was created by Katie Graham, Andrew Matthews, Philip Olson CFP® and Julia Lorenz-Olson and is brought to you by PBS Digital Studios. We love dropping some knowledge on all things personal finance and helping you make better money decisions.

Two Cents is hosted by Philip Olson, CFP® and Julia Lorenz-Olson
Directors: Katie Graham & Andrew Matthews
Written by: Julia Lorenz-Olson & Andrew Matthews
Executive Producer: Amanda Fox
Produced by: Katie Graham
Edited & Animated by: Sara Roma
Images by: Shutterstock
Music by: APM

SOURCES:

[avocademy]

I'm 21 and have $60 in my bank account right now. Sadly that's more than I usually have. If I get hit by a bus that shit better kill me.

[rawvid]

Soooo is there any chance that we get to see that extreme parkour vid ?

[ChrisInvests]

This topic isn't very often covered! Now I will consider covering it 🤔👍

[CharlesPhan]

Im not sure on how and when your channel started but this definitely gives great advice for the younger crowd. Your videos should be a life management course in school or even as a morning announcement lol. great work you guys!

[duchi]

*I have question that's bothering me*
Would a Transformer buy a life insurance or car insurance?

[jonathanpritchard]

The problem is, many young people work service industry jobs paying at or near minimum wage. When you can barely make rent there isn't much of a choice in not buying health insurance. I'm glad you two are able to put a positive spin on this topic, but it's honestly one of the most frustrating, stress inducing, and (in my opinion) amoral aspects of living in the United States. 250, 000 GoFundMe's, and medical bills being the leading cause of personal bankruptcy are huge red flags that our system is extremely messed up.

[lemontea]

I really do believe that middle class and lower Americans are one catastrophic injury/accident away from having serious financial problems.

[sharpshooter]

The problem is that many insurance companies wil ldo what they can to side step having to pay. And that's a major issue.

[Zeakuro]

I didn't have any insurance from 18 until I was 24 when it became required. I have it now because I'm older and I use it, but it is a waste of money for those already struggling financially.

[pet]

Wow, going bankrupt and avoiding medical care due to the cost. Dystopian.

[VannaMae]

Healthcare insurance in America is a joke. You spend so much for "the middle man" health insurance month to month but then when you actually need to use it your insurance company tries to pay as little as possible. We need universal healthcare in this country.

[pikakac]

Besides the high costs, I also don't like the fact that it's almost impossible to figure out how much tests or treatments will cost beforehand. I grew up in a place where doctors will tell you the options you have and how much each option would cost (they give you the total so you don't get one bill from the hospital, one from the doctor who treats you, one from the doctor who reads your ultrasound, etc.).

[brendaprai]

One possible solution is to move to a country where there's universal health-care.

Seriously speaking, I enjoy your videos, but, on this particular subject, I have a hard time understanding why such a rich and advanced country cannot offer health-care to all.

[iPandaNation]

A wise man once told me. “It’s better to have it and not need it, than to need it and not have it” ~My Dad

[joelvaladez]

I’m a college student, blue cross came to my campus asking if i wanted to enroll. They told me they had a great student discount plan, it was only about $20 less than a regular plan. It was still about $400 a month. Yes because i can totally afford that when i was debating wether i could have dinner that day.

[markcarls]

I think I have the mindset of most people my age: "Oh, I got in a serious accident that costs thousands of dollars in damages? Guess I'll just die."

[Shady]

It's insurance... statistically you're better off without it if you're healthy, otherwise the insurance companies wouldn't make any money. Look at the actual numbers and you'll see that young people subsidize the costs of older peoples medical bills. Even if you do get hit with a $60K bill, you don't have to pay it all. Most hospitals are EXTREMELY willing to help you get a payment plan that would bring that amount down to less than the $20K you saved anyways if you just mention the word bankruptcy. Even high deductible plans still cost more than they are worth if you're healthy. It's all a numbers game and the insurance companies have run the numbers to make sure they don't lose, which means you pay more than they do.

[darkexcalibur]

Here's the deal (this is a little risky but I've done it and it works): Two Cents just did a video on negotiating with hospitals and I can vouch that this works. If you're uninsured, hospitals have a lot more freedom in what they charge you. if they bill your insurance, insurance tells them exactly how much to charge and the medical practice is obligated to charge that amount (I work as a medical biller so I deal with this every day). So if there's no third party involved, you can get huge discounts on your bills. If it's still not enough and you're okay with doing this (as I am), give the hospital an ultimatum and tell them exactly what you can pay and if they aren't happy about it they can just send you to collections. Collections *will* negotiate with you after a couple years, and if that's still not enough, take solace in the fact that eventually the charges will drop off of your credit reports. The end. I did this myself after getting into a rock climbing accident and being uninsured. This method depends on how well you can handle hits to your credit, so that's something to consider.

[RangerRuby]

This topic was very interesting and actually a question I wondered about. I like how you not only told what would happen but also gave another solution to the problem.

[thecountrychemist]

I did cringe a bit with the organic comment. Got my BS in chemistry and another BS in horticulture. Organic is just a marketing buzzword. Means very little as to the healthiness of the food. Even told us to go that route if we wanted to make more money at the expense of our ethics.

But really good video and I should consider this in the future. Right now my employer covers whatever i choose since I'm working for the government. However, when I move to a private plan, I'll probably make the switch.